Washington State Real Estate Practice Exam 2025 – 400 Free Practice Questions to Pass the Exam

In Washington State, the establishment of a real estate agency relationship mandates that the agreement be in writing to ensure clarity and legal accountability between the parties involved. The concept of an agency agreement encompasses the formal relationship where one party, the agent, acts on behalf of another party, the principal, in transactions involving real estate. This written agreement is critical because it outlines the responsibilities, rights, and obligations of both the agent and the principal, thus serving to protect both parties legally.

While exclusive listing agreements and other partnership or friendship agreements may have their own requirements, they are specific types of agreements that either fall under the umbrella of agency agreements or do not pertain to the formal establishment of an agency relationship in a real estate context. An exclusive listing agreement, for example, specifically pertains to the agent's listing of a property for sale and is inherently a subset of the broader category represented by agency agreements. Therefore, the written nature of agency agreements serves as the foundational requirement for all agent-principal relationships in the real estate industry, providing clarity and minimizing misunderstandings.